Mid-Morning Market Update: Markets Edge Lower; Macy's Lowers Full-Year Forecast

Following the market opening Wednesday, the Dow traded down 0.18 percent to 17,582.66 while the NASDAQ declined 0.04 percent to 4,658.68. The S&P also fell, dropping 0.14 percent to 2,036.78.

Leading and Lagging Sectors

Telecommunications services shares jumped by 0.15 percent on Wednesday. Top gainers in the sector included Telefonica Brasil, S.A. VIV, up 2 percent, and Comcast CMCSA, up 1.2 percent.

In trading on Wednesday, utilities shares were relative laggards, down on the day by about 1.37 percent. Top losers in the sector included Korea Electric Power KEP, down 6.1 percent, and UIL Holdings UIL, off 2.3 percent.

Top Headline

Macy's M reported better-than-expected earnings for the third quarter. However, the company’s revenue missed analysts’ estimates. The company also lowered its outlook for the year.

The Cincinnati, Ohio-based company posted a quarterly profit of $217 million, or $0.61 per share, versus a year-ago profit of $177 million, or $0.47 per share.

Its revenue slipped 1.3% to $6.2 billion. However, analysts were projecting earnings of $0.51 per share on revenue of $6.37 billion.

Equities Trading UP

Susquehanna Bancshares SUSQ shares shot up 33.33 percent to $13.20 after BB&T BBT announced its plans to acquire Susquehanna Bancshares in a cash and stock transaction valued at around $2.5 billion.

Shares of Matson MATX got a boost, shooting up 18.20 percent to $34.55 after the company announced its plans to acquire Horizon's Alaska operations.

Fossil Group FOSL shares were also up, gaining 9.06 percent to $113.15 after the company reported better-than-expected third-quarter earnings and announced a $1 billion buyback plan. Michael Kors Holdings KORS and Fossil Group announced that they have renewed their global licensing agreement for watches and jewelry.

Equities Trading DOWN

Shares of Plug Power PLUG were down 14.96 percent to $4.32 after the company posted a wider-than-expected third-quarter loss.

Altisource Portfolio Solutions S.A. ASPS shares tumbled 13.33 percent to $63.08 after the company reported that it is discontinuing its Lender Placed Insurance brokerage line of business.

Mellanox Technologies MLNX was down, falling 6.69 percent to $41.03. Mellanox Tech filed to delay form 10-Q and revised financial statements for 2011 to 2013.

Commodities

In commodity news, oil traded down 0.76 percent to $77.35, while gold traded up 0.17 percent to $1,165.00.

Silver traded down 0.11 percent Wednesday to $15.66, while copper rose 0.07 percent to $3.04.

Eurozone

European shares were lower today. The eurozone’s STOXX 600 declined 1.1 percent, the Spanish Ibex Index slipped 1.6 percent, while Italy’s FTSE MIB Index slipped 2.3 percent. Meanwhile, the German DAX fell 1.66 percent and the French CAC 40 declined 1.48 percent while UK shares dropped 0.48 percent.

Economics

The MBA reported that its index of mortgage application activity fell 0.9% in the week ended Nov. 7.

US wholesale inventories increased 0.3% in September, versus economists’ expectations for a 0.2% growth.

The Treasury is set to auction 4-and 52-week bills.